New Biodiesel Facility Opens in Colorado

By Anonymous

A new biodiesel blending and storage facility has opened in Aurora, Colo., increasing the availability of the cleaner-burning fuel for the area. Pipeline company Magellan Midstream Partners L.P. owns the facility, which is located at an existing petroleum terminal. CHS Inc., a Minnesota-based energy and grain-based foods cooperative, will market and distribute the fuel. “By combining a bio diesel blending and storage facility with Magellan’s existing infrastructure, we can get blended fuel to our customers faster and more efficiently,” says Drew Combs of CHS. “Rack blending as opposed to splash blending provides more accuracy and higher quality as well as one-stop loading with a single bill-of-lading.”

Company officials say the move demonstrates biodiesel’s increased integration into the nation’s petroleum infrastructure. The recently passed federal Energy Bill includes an expanded Renewable Fuels Standard, which for the first time will require more renewable fuel to be incorporated into the U.S. diesel market. Biodiesel and other renewable fuels depend on petroleum infrastructure, such as the Magellan terminal, for easy distribution, they noted.

The new biodiesel-blending facility has an 84,000-gallon tank and will make biodiesel blends available to petroleum distributors. Those customers will likely include area truck and car fleets and could lead to more public pumps. Current Colorado biodiesel users include Jefferson County Public Schools, the City of Lakewood, New Belgium Brewery in Ft. Collins, Safeway and Aspen Ski Resort.

Copyright Superintendent of Documents Mar/Apr 2008

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